How Much Do Real Estate Brokers Make in Florida?

Leveling up to become a real estate broker is always a great idea in terms of unlocking more income potential. But how much do real estate brokers make in Florida and is it worth all the extra risk? The truth is that the answer isn’t so simple as brokers and agents both have an uncapped limit, to begin with. This is because you keep what you earn.

Having said that, that doesn’t mean there isn’t a range that most real estate brokers in Florida fall into. And if you are looking for some extra motivation it’s worth looking at some of the top earners. Florida real estate is a hot market right now which is why it is no surprise that many are looking to get into the business.

So let’s take a look at how much real estate brokers in Florida make and what determining factors can change that.

Different Sections Make Different Amounts

First up on our list of determining factors is that different locations across the state are going to provoke different numbers. According to Indeed, in the entire state of Florida, the average earnings of a real estate broker is $74,291. This can be broken down a little more with $47,500 of that being based on commission and the other sum being salary.

But this number can change dramatically when we look at different cities and areas. To give us some comparison let’s look at two of the highest paying cities in Florida. We can dive into the average salary and a look at some of their top earners.

Miami

Indeed reports that Miami brokers have average salaries of $76,260. That’s pretty close to the average. But let’s take a look at one of the top real estate brokers in Miami. Meet Dora Puig. In 2018, she sold $189.4 million worth of homes in the Miami area. As the owner of Luxe Living Realty, she takes home a decent commission. Even if it were just 2% that would be over $3.7 million. Since she’s a broker that number is definitely higher.

Tampa

Tampa is an interesting city to look at because its average is a hair higher than Miami. The average broker salary is $76,806 but that doesn’t mean that there aren’t some serious earners out there. In fact, the hit Netflix show “Selling Sunset” shed a spotlight on Sharelle Rosado’s brokerage and gave her a show. Now it is called Selling Tampa. Sharelle Rosada owns Allure Realty and dominates the waterfront luxury market. Right now Sharelle Rosado’s net worth is valued at $6 million.

Other Notable Cities

There are some other notable cities where properties go for a lot of money. Let’s take a look at some of them

Naples reported an average of $78,874 while Palm Beach was $73,474. Again remember that this is the average out of all the brokers that are in this area. On the flip side, South Florida accounted for eight out of the top 10 agents/brokers in the entire state.

What’s the difference in Salary between Real Estate Agent and to Broker?

Before we get into the salary differences between a real estate agent and a broker, let’s just note the key difference. A real estate agent works for a broker and is a part of a brokerage. Broker can work for themselves or have agents work under them as they own the business. Brokers also take a percentage of their agent’s listings while the agents have to give up their percentage of the sale to the broker.

So what does this look like in terms of being a Florida agent or broker?

The more successful agents you have under your umbrella the better your salary will look as a real estate broker. The average real estate agent in Florida is reported to be making between $40,000 and $63,000 a year according to Salary.com. Having said that the earning potential is much higher. Christian Angle was ranked first statewide and sold $571.8 million in deals. Of course, they own that brokerage.

Will it cost me more money to become a broker in Florida?

Without getting into all the nitty-gritty of running a brokerage it certainly will cost you to run a business. Real estate brokerages that are inside the Top 10% of the country are estimated to make well over $160,000 on average after expenses. If you are planning on starting your own brokerage from scratch it will be a minimum of $10,000 in startup money.

However, if you want to piggyback off of an already known brand and franchise, it can be upwards of $200,000. Because of these very high expenses, it is recommended that owners of a brokerage have a safety net of up to one year in savings to account for no sales and commission.

Is It Worth the Leap?

There are plenty of real estate agents in Florida that make more than brokers. There are also plenty of brokers that certainly make more than the real estate agents they sponsor. When determining whether you want to become a real estate broker in Florida based on salary it is important to know a few things.

If you prefer to be managed rather than be a manager then you are better off staying an agent or sales associate. You can still earn technically as much as you want without having to worry about the extra work and responsibility of being a Florida broker. You will have to share a little more of your commission but that’s the price you pay when working under someone else.

On a final note, the reason why the average salary for a broker is sometimes less than the average salary of some real estate agents is that not everyone can be a successful broker. With competition in Florida being so fierce only some brokerages will survive. And only a handful more will really rise to the top. If you have that determination like Puig, then being a broker is certainly worth the leap.